Business NSW regional manager for Western NSW, Vicki Seccombe said workers in hospitality and tourism had been hardest hit.

She said Business NSW analysis indicated the unemployment rate in the area, which includes Orange, Bathurst, Lithgow, Cowra and Parkes, was likely to soar from 3.3 per cent to 8 per cent.

"Jobs in hospitality and tourism-related businesses were the most severely affected in the period since March 14, while some industries such as healthcare enjoyed a temporary spike when compared to February but have since fallen," she said.

"Another worrying trend out of this data is that the younger and older age cohorts experienced the largest impact since March 14. This likely reflects the profile of hospitality and retail workers and reverses some of the recent increases in participation seen in the over 70 age bracket."

Ms Seccombe said while some businesses would return once the pandemic ended others were closed for good.

"A lot of our businesses were already dealing with drought. They had used all their cash reserves," she said.

Ms Seccombe said the state government needed to remove red-tape to make it easier for businesses to bounce back.

She has also called on people to download the federal government's tracing app to speed up the relaxing of coronavirus-related restrictions.

"Getting our way of life back, from businesses reopening to visiting cafes, kids' sport on the weekend and family gatherings, these things can only happen again if we can stop the spread of this pandemic," she said.

Ms Seccombe said she had found the app easy to download and activate.

Orange Business Chamber president Ash Brown said he was aware of businesses closing in Orange but said the city would bounce back.

"It's been obviously hospitality and hairdressers that have shut down," he said.

Mr Brown said a lack of foot traffic in the CBD has caused others to close.

"Orange has always fared well in economic declines compared to other cities in the area. We tend to be more resilient," he said.

Mr Brown said more than half of Orange's jobs were in government and semi-government areas.